The Russian steelmaker Magnitogorsk Iron and Steel Works (MMK) has announced its plans to invest $1.8 billion in the construction of Prioskolsk GOK.
The new enrichment plant will be located at the Prioskolskoye iron ore deposit, the development rights for which MMK won last November, and will have an annual iron ore production capacity of 35 million mt.
The construction of Prioskolsk GOK is expected to commence at the start of 2009. By 2016, MMK is planning to bring the new facility's annual production capacity up to 25 million mt. Prioskolsk GOK will allow the steel giant to satisfy 80 percent of its needs in iron ore.